US President Donald Trump is set to impose a new $100,000 fee on H-1B visas upon signing a new proclamation, per a Bloomberg report. The move is the latest in Trump’s efforts to increase immigration-related fees and overhaul current immigration laws. An H-1B visa is a temporary, employment-based visa that allows U.S. companies to hire highly skilled foreign workers in specialty fields such as technology, engineering, and medicine.
According to Bloomberg, Trump also plans to order the Labor Secretary to undertake a rulemaking process to revise prevailing-wage levels for the H-1B program. The decision will limit the use of visas to undercut wages that he says “would otherwise be paid to American workers.” Typically, H-1B visas are awarded based on a lottery system. However, the Trump administration feels that the system has long been overused and abused by immigrants, taking opportunities from American workers. Thus, the bill replaces the current lottery system with a model awarding visas to the highest-bidding employers, adding a cost-based filter to discourage misuse.
Bloomberg News also reports that the White House said American workers are being replaced with lower-paid foreign labor. The administration called it a national security threat, saying that the fee hike will reduce abuse of the system. The dynamic is suppressing wages and disincentivizing Americans from choosing careers in STEM fields.
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It is unclear whether or not the $100,000 fee is addition to, or inclusive of, existing fees. The existing program fees include $215 to register for the lottery and $780 for the petition, known as an I-29, filed by an employer sponsor.